Work package 10: Economical Model
A model will be produced to evaluate different silvicultural management scenarios in a micro-economic context. The scenarios will be selected representing different combinations of i) typical beech forest management regimes in Europe (based on WP11) and ii) relevant environmental measures (e.g. amount of CWD and gap-size) based on the outcome of WPs 2, 3, 4 and 6). Management of beech forests differs also widely among European countries and among the countries represented in the Nat-Man consortium as a consequence of different natural growth conditions and economical conditions. The scenarios will be evaluated by the economic model to examine what the economic costs are compared with the environmental gains (biodiversity, biogeochemical integrity).
The economic model will also enable theoretical analysis of the economical consequences of shifting wood quality and size distributions. Profitability criterion will be applied to show whether an investment is profitable or not, and how relatively profitable each of several incompatible or competing investments is. Two groups of profitability criteria, i.e. non-discounting and discounting, will be applied. Typical criteria for forestry will be applied, e.g. forest rent, net present value, internal rate of return, cash-flow analysis, and shadow prices for non-marketable products, including biodiversity, will be added.
Work-package leader:
Lars Wichmann, The Royal Veterinary and Agricultural University (KVL)
Unit of Forestry, Rolighedsvej 23, DK-1958 Frederiksberg C, DENMARK, Fax: (+45) 3528 2671, phone. (+45) 35 28 27 02, e-mail:
Jens Emborg, - last update:8 March 2012